Arizona Real Estate License Practice Exam 2026 - Free Real Estate Practice Questions and Study Guide

The correct choice is the deed, as it is the legal document that conveys ownership of real estate from one party to another. When an owner wishes to sell their property, they must execute a deed to transfer the title to the buyer. The deed contains essential information such as the names of the parties involved, a description of the property, and it must be signed by the seller (grantor).

The deed, unlike other documents, is specifically designed to transfer ownership rights, making it a critical element in the real estate transaction process. It serves as evidence that the seller has legal title to the property and has the right to sell it.

While title insurance policies provide protection against defects in title, they do not prove ownership. A power of attorney allows someone else to act on behalf of the owner but doesn't have a direct role in proving ownership. Similarly, a mortgage agreement pertains to borrowing funds to purchase a property and does not demonstrate ownership. Thus, the deed is the appropriate document that reflects ownership and is necessary for the selling process.